Your company manufactures TVs, stereos and speakers, using a common parts inventory of power supplies, speaker cones, etc. Parts are in limited supply and you must determine the most profitable mix of products to build. TV set Stereo Speaker Number to Build-> 0 0 0 Part Name Inventory No. Used Chassis 450 0 1 1 0 Picture Tube 250 0 1 0 0 Speaker Cone 800 0 2 2 1 Power Supply 450 0 1 1 0 Electronics 600 0 2 1 1 Profits: By Product \$0 \$0 \$0 Total \$0 Problem Your company builds TVs, stereos and speakers, using a common parts inventory of power supplies, speaker cones, etc. Parts are in limited supply. What is the best combination of products to build that maximizes profit? Solution 1) The variables are clearly the number of TVs, stereos and speakers to build. In this worksheet, they are given the name Number_to_build. 2) The constraints specify that the number of parts used cannot exceed the supply. This leads to Number_used <= Number_available There is also the logical constraint Number_to_build >= 0 via the Assume Non-Negative option 3) The objective is to maximize profit. In the ProductMix worksheet this is defined as Total_profit. Remarks Although this is a good example of a product mix problem, bear in mind the limitations of the model. For example, market demand and price elasticity is not included in the model -- we assume that it doesn't matter how many TVs we build, we will always be able to sell them. Nor are there any pre-specified minimum or maximum of products that need to be made. The effect of introducing these restrictions can be studied by examining a Sensitivity Report, which you can select from the dialog appears with the message 'Solver found a solution.'